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ACFE CFE-Fraud-Prevention-and-Deterrence Exam Overview:

Certification Vendor:	Association of Certified Fraud Examiners (ACFE)
Exam Name:	CFE Exam – Fraud Prevention and Deterrence
Exam Number:	CFE-Fraud-Prevention-and-Deterrence
Real Exam Qty:	70
Related Certifications:	Certified Fraud Examiner (CFE)
Passing Score:	75%
Exam Format:	Multiple-choice, True/False
Available Languages:	English
Exam Duration:	90 minutes
Recommended Training:	CFE Exam Preparation Resources ACFE Official Training & Study Resources
Exam Registration:	ACFE Exam Information and Scheduling ACFE CFE Exam Registration
Sample Questions:	ACFE CFE-Fraud-Prevention-and-Deterrence Sample Questions
Exam Way:	Computer-based exam (remote proctoring via Prometric ProProctor or in-person Prometric test center)
Pre Condition:	Part of the ACFE Certified Fraud Examiner (CFE) exam program; eligibility requirements apply for CFE certification (education, experience, and ethics requirements).
Official Syllabus URL:	https://www.acfe.com/cfe-credential/about-the-cfe-exam

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To be eligible for the CFE-Fraud-Prevention-and-Deterrence Certification Exam, candidates must meet specific educational and professional requirements. Applicants must have a minimum of a bachelor's degree from an accredited institution and two years of relevant professional experience in fraud examination, auditing, or investigations. Alternatively, applicants can have a master's degree or higher in business, accounting, or finance and one year of professional experience.

ACFE Certified Fraud Examiner - Fraud Prevention and Deterrence Exam Sample Questions (Q27-Q32):

NEW QUESTION # 27
Which of the following is TRUE regarding the reporting of the fraud risk assessment results7

A. All of the above
B. A fraud risk assessment report should reflect the assessment team's subjective perspective regarding the risks identified
C. The fraud risk assessment report should contain a detailed, comprehensive list of every assessment finding
D. The fraud risk assessment report should be delivered in a style most suited to the language of the business

Answer: A

NEW QUESTION # 28
During a fraud risk assessment, a focus group would be MOST HELPFUL in which of the following situations?

A. The assessment team wants to receive candid one-on-one feedback from employees in a private setting.
B. The assessment team would like to provide a means for anonymous suggestions or responses to questions.
C. The assessment team wants to observe employees as they collectively discuss the organization's fraud awareness training.
D. The assessment team would like to obtain responses through a formal electronic questionnaire.

Answer: C

Explanation:
A focus group is useful when the fraud risk assessment team wants to observe group interaction, shared perceptions, and collective discussion. It allows employees to discuss a topic together so the assessment team can evaluate common views, disagreements, and group-level concerns. Anonymous suggestions are better obtained through anonymous feedback mechanisms. A formal electronic questionnaire is a survey, not a focus group. Candid one-on-one feedback is best obtained through individual interviews. In this question, observing employees collectively discuss fraud awareness training is the situation most aligned with the purpose of a focus group. The CFE materials distinguish interviews, focus groups, surveys, and anonymous feedback mechanisms as different techniques for gathering fraud risk assessment information. Therefore, option B is correct.

NEW QUESTION # 29
The objective of anti-fraud controls is to:

A. Reduce the residual fraud risk to a level that is significantly smaller than the inherent fraud risk
B. Completely eliminate residual fraud risk
C. Reduce the inherent fraud risk to a level that is significantly smaller than the residual fraud risk.
D. Completely eliminate inherent fraud risk.

Answer: A

Explanation:
Fraud Risk Reduction Objectives:
* Inherent fraud risk: The risk present before any controls are applied.
* Residual fraud risk: The remaining risk after controls have been implemented.
Why D is Correct:
* The goal of anti-fraud controls is to minimize residual risk to acceptable levels, recognizing that complete elimination of risk is unattainable.
Why Other Options are Incorrect:
* A and C: It is impractical to completely eliminate inherent or residual fraud risks.
* B: Residual risk should be lower than inherent risk, but controls aim for significant reduction

NEW QUESTION # 30
Warren wants to decrease the amount of cash register discrepancies among the cashiers at his small business.
According to behaviorist theories, which of the following options would be the MOST EFFECTIVE way for Warren to encourage the cashiers to reduce their discrepancies and keep their cash drawers balanced?

A. Deduct an hour's worth of pay for anyone whose cash drawer is not perfectly reconciled each day.
B. Take away an hour of paid time off from an employee each time their cash drawer is not balanced.
C. Demote employees who continue to have reconciliation discrepancies.
D. Publicly praise employees every time their cash drawers are balanced.

Answer: D

NEW QUESTION # 31
The Committee of Sponsoring Organizations of the Treadway Commission (COSO) defines____________ as "a process, effected by an entity's board of directors, management, and other personnel, designed to provide reasonable assurance regarding the achievement of objectives relating to operations, reporting, and compliance."

A. Corporate compliance
B. Risk assessment
C. Fraud risk management
D. Internal control

Answer: D

NEW QUESTION # 32
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